RBL Bank second quarter net profit rises 165 per cent

NEW DELHI: Private sector lender RBL Bank’s net profit shot up to Rs 144.16 crore in the second quarter of fiscal against Rs 54.13 crore in the same period a year ago. For the quarter ended September 30, total income was Rs 2,533.47 crore, about 1.3 per cent lower than Rs 2,567.68 crore a year ago.

Net interest income rose by 7 per cent to Rs 932 crore in the second quarter from Rs 869 crore a year ago. Net interest margin was 4.34 per cent as on September 30, 2020, versus 4.35 per cent a year ago. 

Provisions declined marginally by 2.8 per cent and stood at Rs 525.57 crore in the second quarter of this fiscal from Rs 540.58 crore in the same period a year ago.Gross non-performing assets were at Rs 1,911.72 crore or 3.34 per cent of gross advances as on September 30, 2020, against 3.45 per cent on June 30, 2020, and 2.6 per cent as on September 20, 2019. Net NPAs were at 1.38 per cent of net advances as on September, from 1.56 per cent a year ago.

In a separate statement, RBL Bank said the Reserve Bank of India has granted its approval to Maple II BVfor acquiring more than 5 per cent stake but up to 9.99 per cent of the paid-up share capital of the lender. RBL Bank had, in August, said it will raise Rs 1,556 crore through a preferential issue of shares. Maple II BV (affiliated to Baring PE) will hold 9.45 per cent in the lender and invest about Rs 1,000 crore. 

Vishwavir Ahuja, Managing Director and CEO, RBL Bank, said the funds are likely to flow in the next 10 days. “With this accretion, our total capital position will become 18.7 per cent and Rs 12,000 crore,” he added. Other investors in the issue include CDC Group, ICICI Life Insurance, and others.